A video showing the difference between normal RAW and Dual ISO RAW can be seen below. Take a look at the shadow noise reduction in the Dual ISO RAW example, pretty remarkable. The person that made the video did so in a “worst case scenario” way, so your results should be dramatically better if you’re actually trying to make great video.

In case you missed it, this is part of Magic Lantern increasing the dynamic range of the EOS 5D Mark III and EOS 7D by 3 stops using a dual ISO technique. You can read about it here.

Does a bit, but if you've been keeping up with it all (including reading the PDF), Alex has said that the method he's using is _not_ the best quality, and there are much better methods available. He was just too lazy to go ahead and implement them, as they are rather non-trivial.

Yes, a lot of things in the image look much cleaner but ... sometimes textures are "clean" and lock plasticky in reality. I miss some cleanliness in a lot of images I make with the 40D which has quite good IQ just in comparison to current models.

For me it looks naturally smooth and I would like to have the option for such a processing of stills - might be a reason to buy a 7D.

It would be great to have a photograph for comparison ... or the couch ...

Well the colour looks nice in dual-iso, but that's some crazy bad moire on the cushion.

+1 yeah it makes it perform like an Exmor or better for shadow pulling but then again the resolution is what cut in half in each direction so.... and the moire and aliasing are so bad that it looks more or less unusable.

If anyone is interested in the technical details Alex (the main guy responsible for magic lantern) has linked a pdf describing the background on this method in the magic lantern forum. If you scroll through the cmments you can also find the compiled build of ML with this feature.